For the majority of the traders that lose, the brain gets use to losing as it is an event that happens the most. So the brain is actively seeking out losing trades for those kinds of traders, the brain is happiest when it finds a setup that knows will be a loss. But when a losing trader takes a trade that the brain doesn't like, the trader has all kinds of problems staying with the trade cause the brain is totally uncomfortable cause it does not "fit" what the brain is use to seeing. So while in the profitable trade, he is feeling all kinds of threats as the brain is telling him to get out or feeding them false ideas cause the brain is feeling pain of being in a situation that does not occur often. It is very hard to overcome this. Took me a few years to overcome, but now I believe every trade will be not a loss. So my brain looks for setups that will not lose. Of course I have losses, but much less than in my beginning.
you are in the point. human brain learn things by association. if your setup does not work this tiime, next time you see a silimar setup, the brain will tell you this one does not work either, so you hesitate. in reality, every second is unique. even we have similar setup, but every time is different. so you need tell your brain: this time is unique, look for any information that looks different, do not seek information to prove this time is the same.
Same EXACT thing happened to me about a year ago. I lined up all my winning trades in a few images and they looked nearly alike. I memorized the picture and it was much greener from then on.
The most important thing I learnt was to wait for signals that would confirm I was trading with the trend, rather than buying a falling stock and selling a rising one. Contrarian views have never worked for me, and so being patient and waiting for a signal that the market had bottomed/topped has been very important. The rest is here: www.tradingpimm.blogspot.com Even now the S&P looks overvalued and I voice it daily, but whilst there are more bulls than bears it will be very hard for the bears to make any money.
his post doesn't hold a candle to the hysterics of certain moderators who don't have a modicum of verbal restraint.